InfoReach now offers buyside traders the ability to customize and configure their risk controls in real time across multiple asset classes.
Traders can set alerts for such risk factors as when a certain trader or desk exceeds its credit limit, when a particular broker is used that shouldn’t be or if a child order is placed with a price worse than the limit price of parent order.
The risk controls are available through the either the buyside trader’s own preferred order management system or through InfoReach’s own system.
Once the limits and risk checks are established, a trading firm’s risk exposure can be viewed for multiple levels including client, account, trader, trading desk and enterprise, said InfoReach chief executive Allen Zaydlin.
“This focus on risk control comes amid the recent focus on erroneous trades, algos gone amok and other technology glitches,” Zaydlin said. “For firms using more than one trading platform and trading through multiple brokers, the InfoReach risk settings can be used to aggregate risk globally across asset classes.”
Risk controls were mandated in response to the Securities and Exchange Commission’s market access rule 15c3-5, which went into effect last year. The controls, which can be embedded into any user’s execution management system or InfoReach’s own system, cover orders originated manually, algorithmically, via API or via FIX.